As per a longstanding agreement, Stellar’s founder and Ripple’s former co-founder is set to receive another 63M XRP.
In 2011, Jed McCaleb founded Ripple. Embroiled in multiple lawsuits, McCaleb has been restricted from selling his entire stash of over 4.7 billion XRP. His stunningly-high holdings have been a constant thorn in Ripple’s side and have also made McCaleb one of the richest individuals in the world.
For years now, McCaleb has been receiving XRP on a semi-consistent basis — and it seems like he’s just received a fresh batch of XRP tokens.
McCaleb Receives Another 63M XRP
According to Whale Alert (@whale_alert), McCaleb has received another $12.3 million worth of XRP from his settlement. Some 63.7M XRP was transferred to his wallet earlier today.Many replied with the expectation that McCaleb would sell off his holdings yet again, as he has done in the past.🚨 63,704,590 #XRP (12,293,769 USD) transferred from Jed McCaleb Settlement to Jed McCaleb wallet
— Whale Alert (@whale_alert) April 7, 2020
Tx: https://t.co/UVbEN1FJMt
As of now, it is unclear whether the restrictions of the legal agreement prevent McCaleb from immediately selling or how much he can dump at one time.Guess what he will do
— CryptøManiac101 🅐 (@_Crypto_Maniac_) April 7, 2020
Constantly Unloading Coins
As per schedule, Ripple unlocks some 1B coins every month. The team also adds to McCaleb’s XRP holdings on a semi-consistent basis. The result has been constant sell pressure on which has been compared to the Plus Token scam — a never-ending sell-off to enrich its founders. The continuous sell-offs were blamed for making XRP the biggest loser among the top-10 cryptocurrencies in 2019.
It’s unclear what McCaleb does with his holdings. He founded Stellar (XLM) which now boasts a market capitalization of $980M at the time of writing. On top of receiving XRP, he also owns a large stake of his spinoff cryptocurrency XLM.
BeInCrypto has previously reported on McCaleb’s stash. As of February 2020, he has sold some 1.05 billion XRP valued at around $135M.
While we don’t have any evidence that shows McCaleb is rushing to dump his newly-received coins any time soon, traders should be aware that the threat is there.
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Advertorial is the universal author name for all the sponsored content provided by BeInCrypto partners. Therefore, these articles, created by third parties for promotional purposes, may not align with BeInCrypto views or opinion. Although we make efforts to verify the credibility of featured projects, these pieces are intended for advertising and should not be regarded as financial advice. Readers are encouraged to conduct independent research (DYOR) and exercise caution. Decisions based on...
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